A car dealer who sells only late-model luxury cars recently hired a new salesman and believes that this salesman is selling at lower markups. He knows that the long-run average markup in his lot is $5,600. He takes a random sample of 16 of the new salesman's sales and finds an average markup of $5,000 and a standard deviation of $800. Assume the markups are normally distributed. What is the value of an appropriate test statistic for the car dealer to use to test his claim?

Related Questions

• Danny "Dimes" Donahue is a neighborhood’s 9-year-old entrepreneur. His most recent venture is selling homemade brownies that he bakes himself. At a price of $1.50 each, he sells 100. At a price of $1.00 each, he sells 300. a. Is demand elastic or inelastic over this price range? . b. If demand had the same elasticity for a price decline from $1.00 to $0.50 as it does for the decline from $1.50 to $1.00, would cutting the price from $1.00 to $0.50 increase or decrease Danny’s total revenue? .
• When a magazine refuses to accept advertisements featuring "size zero" models on the grounds that it could encourage eating disorders in young women, this is an example of paying attention to which pillar of corporate social responsibility?
• Firms will be willing and able to produce more output only when prices rise because the______cost of production is rising.
• Which of the following choices correctly depicts activities that would be included in a manufacturer's value chain? Research and Development Marketing Distribution A. Yes Yes No B. Yes No Yes C. Yes Yes Yes D. No Yes No E. No Yes Yes
• Standard & poor’s and moody’s would be least helpful while making decisions concerning the purchase of _____.
• The accounting and tax departments are the responsibility of the _____. a. ​inventory manager b. ​controller c. ​vice president of finance d. ​director of capital budgeting e. ​treasurer
• The Lory Company had net earnings of $127,000 this past year. Dividends of $38,100 were paid. The company's equity was $1,587,500. If Lory has 100,000 shares outstanding with a current market price of $11.625 per share, and a dividend growth rate is 5.6%, what is the firm’s discount rate?
• The accountant at ABC Water Company has been asked to perform a vertical analysis of the company's debts relative to their revenue. In 2015, ABC had $375,421 in revenue and $70,332 in debts; in 2016, they had $437,879 in revenue and $90,765 in debts. Using this information, calculate what percentage of their revenue in 2016 was debt, and how much it had increased from 2015?
• Athena Company's salaried employees earn two weeks of vacation per year. It pays $858,000 in total employee salaries for 52 weeks but its employees work only 50. Record Athena Company's weekly journal entry to record the vacation expense:a. Debit Vacation Benefits Expense $16.500: credit Vacation Benefits Payable $16,500 b. Debit Vacation Benefits Expense $17,160, credit Vacation Benefits Payable $17,160c. Debit Vacation Benefits Expense $17.875: credit Vacation Benefits Payable $17,875 d. None of the above
• Frank has thirty years of service as a manager for his company. He remembers when managers had almost complete freedom to fire workers. Frank thinks this is only fair. "After all," Frank points out, "workers quit whenever they get a better offer. Shouldn't managers have as much freedom to fire workers as the workers have to quit